Mark Handley – Page 17 – European Sanctions Enforcement

March 6, 2024 by Mark Handley

Germany – three arrested for exporting luxury cars in breach of Russian sanctions

It is being reported today that officers from the Berlin-Brandenburg Customs Investigation Office and the Berlin State Police conducted raids on seven private and commercial addresses and arrested three people on suspicion of the unlawful export of luxury cars in breach of the EU’s Russian sanctions.

The sanctions prohibit the export of cars valued at more than €50,000.

The allegations relate to the export of 400 cars valued in total at €28 million. The cars are said to have been indirectly exported to Russia via Belarus since June 2022.

March 5, 2024May 3, 2024 by Mark Handley

Germany – investigation into garage company’s alleged circumvention of Belarus sanctions

The German company Hörmann, which manufactures garages doors, gates and other products, is reported to be under investigation by the Public Prosecutor’s office in Germany. Also being investigated are the Hörmann subsidiaries Alutech Group based in Minsk and Eluteck Investments Limited based in Cyprus.

The company is reported to have denied the allegations which were first by WirtschaftsWoche in January 2024.

The allegations relate to the alleged importation of sanctioned goods from Belarus via Russia for the time when the products in question were prohibited from Belarus but were not prohibited imports from Russia.

March 4, 2024 by Mark Handley

Denmark – investigation into importation of aviation fuel from India in potential breach of Russian sanctions

It has been reported that the Danish Business Authority is currently investigating the Danish shipping company Hafnia for possible breaches of the EU’s Russian sanctions.

The allegations relate to the importation in October of 30 million litres of aviation fuel from a refinery in India which may be owned or controlled by designated persons.

Hafnia is reported to have denied the allegations and stated that it acts in full compliance with all relevant laws and regulations.

March 1, 2024 by Mark Handley

Germany – prosecution into alleged timber imports from Belarus

Comments by a United Nations rapporteur have revealed an ongoing criminal investigation into imports of timber products from Belarus allegedly in breach of EU sanctions.

The case was referred to prosecutors by the German customs authorities and raids were conducted in March 2023, and further investigatory steps have taken place this month.

The individual charged is Alena Bekker and the importing company was Texforum-Interhandel e.K.

Both appear to deny the allegations in part on the basis that the imports were done in accordance with grand-fathering provisions when the Belarus timber ban was introduced.

February 27, 2024March 19, 2024 by Mark Handley

Latvia – sanctions raids and inspections into Russian timber imports

The Latvian State Security Service has today announced multiple raids and inspections took place last week in relation to an ongoing criminal investigation into plywood imports into Latvia where counterfeit documents mask the Russian or Belarusian origin of the products in favour of false origins in Kazakhstan and Kyrgyzstan.

The importation of many timber products is prohibited under the EU’s Russian sanctions.

The report notes that the criminal proceedings were commenced in November 2023.

It is unclear whether this investigation in Latvia is related to a similar investigation into plywood imports being undertaken in Lithuania. See our earlier post.

UPDATE: The Latvian VDD has now provided some further clarification of the location of the raids including the premises in Valmiera of the Latvian Chamber of Commerce and Industry.

February 21, 2024 by Mark Handley

Switzerland – updated enforcement statistics including 9 fines

Sanctions enforcement statistics for Switzerland’s SECO have been reported today. These are an update on those previously published in May last year.

- 230 reports to SECO of potential sanctions breaches:
- 47 proceedings commenced, of which:
  - 18 cases remain active;
  - 9 fines imposed; and
  - 20 cases discontinued.

SECO also stated that new cases are being added all the time, and that most relate to trade sanctions.

No information was published as to the level of the fines imposed (other than “varying severity”), or the identities of those fined or being investigated or prosecuted.

February 20, 2024 by Mark Handley

France – €120 million villa allegedly owned or controlled by GazpromNeft seized by French prosecutors

The Parquet de Paris (Paris Prosecutor’s Office) has seized a villa valued at €120 million in the south of France, and the shares of the company that is the registered owner of the villa.

The Paris Prosecutors allege that the villa is really owned or controlled by GazpromNeft, the Russian state-owned gas company which is designated in the EU and so subject to an asset freeze.

The seizure forms part of a ongoing investigation.

February 19, 2024 by Mark Handley

Finland – 700 Russian trade sanctions investigations of which 70 are large and complex

In September 2023, the Finnish Customs authorities announced they had 600 ongoing criminal investigations of which 60 were “aggravated”.

As reported in Wirtschaft Woche Sari Knaapi , the Chief Economic Crimes Investigator at Finnish Customs has now given details of the current figures, stating that there are now 700 ongoing investigations, with around 70 that are described as “large, complex cases”.

February 14, 2024 by Mark Handley

Finland – conviction of Russian national for breach of the EU travel ban

In a rare example of the enforcement of the travel ban imposed on designated persons, a court in Finland has convicted the Russian national Yan Petrovsky for travelling into Finland under an assumed alias, Voislav Torden, in 2022 and 2023.

Petrovsky was sentenced to 40 days in jail, and ordered to pay a fine of €80.

February 13, 2024 by Mark Handley

Switzerland – SECO refers two cases of breaching Russian sanctions for prosecution

It has been reported today that Switzerland’s State Secretariat for Economic Affairs (SECO) has referred two of its investigations into commodity trading companies to the Attorney General’s Office for criminal prosecution.

A third, allegedly similar, case is still being investigated and has not been referred.

It is reported that the allegations relate to the attempt to use of foreign subsidiaries to undertake trade in breach of the relevant Swiss sanctions against Russia.